6yrs solid programming. Where do I go from here in trading? hft?quant developer?

Hi,
This is my first post in this forum and to be honest I'll admit that I don't have much knowledge about trading or finance world.

Heres my situation: BS CS (foreign) , MS CS(top 50 state school), close to 6yrs as a programmer in big software companies which everyone has heard off and use thier products daily probably. I'm particularly not that happy with pay. Its decent - low 100s which is kind of market rate for my level. But pay seems to be stuck at this point. I'm thinking of moving into trading, but I've no clue as to how/where to make the jump.
I've been investing in stocks for almost 5yrs, but thats just regular investing, so probably its not of any real value, but I do have a great interest in trading. I'm also reasonably good in math(but lost touch since school since I dont use that much at my job, but dont mind studying on my own to pick up whatever I need) and programming(mostly c++) but I confident to pick up any language. I do want to continue to stay in programming if preferable, but Im open.

So far, from the research I've done online seems to be that I can either try to work in a hedge fund or prop firm in HFT (low latency trading systems) as developer or quant developer implementing algos and models.
I'm not sure if these are the only options for programmers. Things I lack are : no ivy league or impressive edu background and no finance experience.
How do I break from here? I had couple of recruiters call me trying to recruit for some software engineer jobs in GS(front office)/Bloomberg, but I politely declined as I dont want to go into a regular software engineering role, but more into trading related as I feel thats where programmers could probably earn more.
Finally, what is a typical all comp for programmers who are new to HFT/quant/ Is it reasonable to expect 200K atleast within 1-2yrs assuming median performance?

Thanks and feel free to point out any BS in my post, like I said I'm not familiar much with what exactly do prop firms or hedge funds on a daily basis. All the info I got is mostly from this forum and wilmott.

Thanks,
M

 
Best Response

It will be nearly impossible to break into a HF or prop trading firm doing what you want to do with your background. Sorry to put it that way, but an unrecognizable foreign school + top 50 state school won't be enough to get past the initial screen. Your best bet is to work at a top BB or Bloomberg doing high frequency work then moving on a couple years later. Work with recruiters who have connections in the field. 200k all in is ridiculous after 1-2 years considering the fact that you're making 100k now. If you join a BB, expect around 110-120k all in first year. HFs might give you a 20% bump or so after.

 

Hi HarvardOrBust and JoshMostel,

Thanks for the reply. Yeah, my education background is not impressive, but I cant do anything about it now :). Pretty much, the only good thing on my resume is my experience with big brand tech companies. Not to brag, but I did get an offer from GS when I graduated(6 yrs back), but that was technology analyst or some role like that and at that time a hardcore tech company looked more appealing to me. Im reasonably confident that I can clear a GS or Bloomberg interview for a software engineer role (I could be wrong but I think thier interviews are easier than Google/FB/Microsoft which I have cleared during my last job change. again not to brag, just to give an idea about my background). My all-in comp is around 130K today.

Your best bet is to work at a top BB or Bloomberg doing high frequency work then moving on a couple years later.

Definitely I would love to do High frequency work (in fact this is what I wanted to do), but the recruiters were recruiting for regular software infrastructure work and nothing to do with HFT or algo trading. Again I dont intend to move as a trader, just wanted to move as algo developer initially i.e I wanted to write software for or develop the algos/strategies. I see job ads for C++ devs in HFTs in prop firms close to 200K for someone with 3-4yrs experience in C++, so I thought it was possible to some extent.

Do, I need to do MSFE to become a quant developer? I thought for developers a CS background would suffice. Is my understanding wrong?

 
crazyfrog3:
I could be wrong but I think thier interviews are easier than Google/FB/Microsoft which I have cleared during my last job change. again not to brag, just to give an idea about my background

Not for the position you want. For average developer position, it may be easier.

crazyfrog3:
I see job ads for C++ devs in HFTs in prop firms close to 200K for someone with 3-4yrs experience in C++, so I thought it was possible to some extent.

Do, I need to do MSFE to become a quant developer? I thought for developers a CS background would suffice. Is my understanding wrong?

You need to have some sort of quantitative background, an MSFE will give you that. There are other degrees that will give you that as well.

You have nothing to lose by trying, so go ahead and submit your resume to a few recruiters and see how it plays out. Be aware there is little to no job security in these roles in the prop trading firms.

 

Recruiters are always trying to get people interviewed by places like GS. The ratio of offers to interviews is very low. The ratio of interviews to resume submissions is low. So, don't think just because a recruiter is excited about you that you have a good chance.

If you are to get in, it will be many years until you reach 200K. The market is not good right now and most BB banks are going to have flat hiring for 2011. The bonuses for 2010 are predicted to be poor and there is no indication at present that things will improve anytime soon.

As already mentioned, you have no chance of getting a trading role or anything close to it. Your best bet at this time would be to go to a top (as in top 3) school for MSFE and become a Quant Developer.

 

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